This record is a partial extract of the original cable. The full text of the original cable is not available 131149Z Dec 01

CONFIDENTIAL PT08587

PAGE 01 HARARE 03715 131614Z

ACTION AF-00

INFO LOG-OO

AID-00

CIAE-00

CTME-00

DODE-OO

EB-00

EUR- 00

EXIM-01

E-00

VC-00

FRB-00

H-01

TEDE-00

INR-00

ITC-01

AC- 01

NSAE-00

OMB- 01

OPIC-01

ACE-00

SP-00

SSO-OO

STR-00

TRSE-00

USIE-00

G-00

SAS-00

/ 006W

4B0EE9 131615Z /45

FM AMEMBASSY HARARE

TO SECSTATE WASHDC PRIORITY 0535

INFO NSC WASHDC PRIORITY

SOUTHERN AFRICAN DEVELOPMENT COMMUNITY

AMEMBASSY NAIROBI

CONFIDENTIAL HARARE 003715 SIPDIS

NSC FOR SENIOR AFRICA DIRECTOR JENDAYI FRAZER LONDON FOR GURNEY PARIS FOR NEARY NAIROBI FOR PFLAUMER

E.O. 12958: DECL. 12/13/11 TAGS: ETRD ECON PHUM PREL ZI

SUBJECT: AGOA DECISION CONVEYED TO GOVERNMENT OF ZIMBABWE

REF: STATE 211333

CLASSIFIED BY POLITICAL SECTION CHIEF MATT HARRINGTON. REASONS : 1.5 ( B ) AND ( D ) .

11. (U) POLITICAL SECTION CHIEF DELIVERED REFTEL TALKING

POINTS ON DECEMBER 13 TO MINISTRY OF FINANCE PERMANENT SECRETARY NICHOLAS NCUBE . POLCHIEF REPORTED THAT ZIMBABWE

SIPDIS

WOULD NOT QUALIFY FOR AGOA BENEFITS IN 2002, DESCRIBED THE REASONS ELABORATED IN REFTEL, AND LEFT NCUBE WITH A NON- PAPER. HE STRESSED THAT THIS WAS NOT A PERMANENT DECISION. WE CONDUCT AN ELIGIBILITY REVIEW ANNUALLY, AND SIGNIFICANT PROGRESS IN ADDRESSING USG CONCERNS WOULD STRENGTHEN ZIMBABWE'S CHANCES FOR ELIGIBILITY IN 2003.

12. (C) THE DECISION WAS NOT A SURPRISE TO NCUBE. WHILE HE WOULD HAVE PREFERRED A DIFFERENT OUTCOME, HE DESCRIBED THE USG DETERMINATION AS "STRAIGHTFORWARD, BASED PRIMARILY ON GOOD GOVERNANCE CONCERNS . " HE LAMENTED THAT THE GOVERNMENT HAS BEEN IN ELECTION MODE FOR ALMOST THREE YEARS, BEGINNING WITH THE FAILED CAMPAIGN FOR A NEW CONSTITUTION IN 1999. DURING THAT PERIOD, ALL GOZ POLICIES HAVE BEEN CONSIDERED WITH THE NEED TO WIN THE PRESIDENTIAL ELECTION IN MIND. HE AND FINANCE MINISTER MAKONI HAVE BEEN RESTRICTED PRIMARILY TO DAMAGE CONTROL HE SHOOK HIS HEAD AT SOME OF THE PROPOSALS THAT HAVE LANDED ON HIS DESK BUT HE HOPED THAT, ONCE THE ELECTION IS OVER, HE AND HIS BOSS CAN BEGIN TO NURSE ZIMBABWE'S ECONOMY BACK TO HEALTH.

13. (C) COMMENT: LIKE HIS BOSS, SIMBA MAKONI, NCUBE IS A FRANK INTERLOCUTOR WHO IS USUALLY HONEST ABOUT HIS UNHAPPINESS OVER THE NATIONAL POLITICAL ENVIRONMENT HERE.

IN THIS MEETING, HE WAS MOST FRUSTRATED THAT ZANU-PF ' S DETERMINATION TO WIN THE PRESIDENTIAL ELECTION HAS PREVENTED HIS MINISTRY FROM ADDRESSING THIS COUNTRY'S

CONFIDENTIAL

PAGE 03 HARARE 03715 131614Z

SERIOUS ECONOMIC PROBLEMS, AND HE WAS RESIGNED TO THE FACT THAT THIS WOULD CONTINUE TO BE THE CASE UNTIL THE ELECTION. WE HAVE NO DOUBT THAT THE AGOA DECISION, FOLLOWING SO CLOSELY ON THE HEELS OF ZDERA'S PASSAGE, WILL LEAD THE GOZ TO MOVE US UP A NOTCH OR TWO ON THE ENEMIES LIST AND TO SUBJECT US TO FURTHER ROASTING FROM THE GOVERNMENT- CONTROLLED PRESS LED BY INFORMATION MINISTER JONATHAN MOYO.

SULLIVAN

CONFIDENTIAL

>